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Index
Purchasing Responsibility
Overview
General Instruction
Purchase Requisition Instructions
Capital Equipment
Surplus or Obsolete Equipment
How to Order Supplies and Equipment
When Purchasing Receives Your Requisition
When Purchases Are Received
Material Picked Up
Emergency Orders
University Policy and Procedure on Check Requests
How to Use a Check Request Form
University Payment Methods
Questions
Purchasing Responsibility
Business Services is the authorized
department for making commitments to off-campus vendors for the purchase of
supplies, equipment and services on behalf of all university departments.
Business Services conducts the purchasing function in accordance with the
ethical and fiscal responsible practices of the purchasing profession.
Purchases, using University funds, will be made by Business Services and any
purchase made by individuals without following proper purchasing procedures and
use of an authorized purchase order from the University will result in personal
payment by the individual who makes the commitment(s).
Overview
The purchasing process is initiated
by a department through the use of a purchase requisition (Exhibit A).
The department shall specify what is needed in enough detail, clarity and
with supporting documentation as needed so that Business Services and vendor(s)
have no question as to what is ordered. Business Services will assist in
writing specifications, if requested.
Specifications made by the initiating department will not be altered without the permission of the department. Business Service personnel may make suggestions as to alternatives available in the current market or question quality, but will not change specifications without approval.
Correspondence with suppliers relating to present orders, for the purpose of changing specifications, quantities, delivery requirements, or cancellations shall be directed to designated departmental personnel who will communicate with the vendor. Departments, through this expediting process, will keep Business Services appraised of the status of each of their orders.
Business Services desires to work cooperatively with all University personnel. Additional instruction and assistance with purchasing policies and procedures are available upon request. All suggestions are welcome and subject to review that may simplify existing procedures and fall within the existing guidelines of University policies.
General Instruction
All off-campus purchases at
The signature authorization of the individual signing the purchase requisition or check request authorizes the purchase and verifies that there are adequate funds available in the account being charged. If the request causes the particular budget line item to be overspent, the department will be contacted to adjust the budget dollars before the request will be reprocessed. Budget adjustments must be submitted to the Assistant Vice-President for Financial Affairs.
Purchase Requisition Instructions
All off-campus purchases of up to $5,000 per
single item or $25,000 and above must be initiated with a properly completed purchase
requisition, which is delivered to Business Services for processing.
Capital Equipment
Capital equipment is tangible equipment
costing $5,000.00 or more per item. Purchases of capital equipment are made
from the capital equipment expense line "7707" and must be approved
by the VP of Financial Affairs. Capital equipment must be assigned a capital
asset number, inventoried and tracked for the remainder of its useful life to
the University. The Business Services Department is responsible for maintaining
and tracking Fixed Asset information.
Surplus or Obsolete Equipment
The Business Services Department is
responsible for tracking the disposal of all University capital equipment. An
Asset Disposition form (Exhibit C) must be prepared for each item marked for
disposal. Each department is responsible for the completion of this form and
submits the form to Business Services so the asset value will be removed from
active Inventory. Contact the Campus Event Scheduling Coordinator (ext. 2283)
for removal of large items to the surplus storage area. Surplus items will be
inventoried and campus departments will be advised of this inventory.
How to Order Supplies and Equipment
The purchase requisition (Exhibit A)
is used to request the purchase of goods and services used by the University
through the Business Services Department. This procedure outlines the manner in
which it should be completed. It is important that all information requested on
the form be addressed. Business Services uses the information to inform the
vendor of what is needed, when it is needed and where it is needed. Complete
the form according to the following instructions. Paragraph numbers agree with
the (Exhibit B) on the sample form on the following page.
When Purchasing Receives Your
Requisition
On a daily basis, all requisitions are
reviewed by Business Services. When a requisition meets all criteria (account
number, signature, funds, etc.), a purchase order batch is prepared. The
computerized program encumbers the designated account for the estimated amount
of purchase until such time as the purchase is received and the invoice is paid.
When payment occurs, the computer program transfers the amount of the purchase
from the encumbered column and deducts the amount of the purchase from the
designated account budget.
After the requisition is verified, a purchase order is prepared. The purchase
order is a four-part form prepared by Business Services and used as the
contract for purchases (Exhibit D). The purchase order is designed to give each
person, department or vendor all the information they need to know about the
contract.
Copy one is a blue copy that is mailed to the vendor. This copy furnishes the
information that the vendor needs to complete the order. Copy two is a yellow
copy which is used by Business Services for its file copy. Copy three is a pink
copy which is forwarded to Accounts Payable with the invoice(s) and is used for
the payment of the purchase(s) after authorization by the initiating
department. Copy four is a green copy which is returned to the requisitioning
department for their records. The departmental copy should be checked for
discrepancies with the corresponding purchase requisition before placing in a
pending file awaiting resolution. If a discrepancy is found, Business Services
should be notified immediately to correct the discrepancy in-house and with the
vendor.
When Purchases Are Received
When the purchase is received,
departmental personnel need to check the contents of the shipment immediately
for conformity with the packing slips and the outstanding requisition. Special
procedures are in place for overages, shortages, damages and returns. The
departmental representative signs and dates the yellow copy of the purchase
requisition titled "Receiving Report" and returns this to Business
Services. This Receiving Report authorizes payment for items received. Partial
payments are made as items are received per terms of the vendors invoice. Do
not hold invoices until all items are received. Forward all invoices
immediately to Business Services for processing.
Material Picked Up
There are times when it is most
advantageous for department representatives to pick up materials direct from
the vendor as ordered by the purchase order. The individual making the pick-up
should have full knowledge of the order and be able to provide proper
identification to the vendor . The department representative must request to
have the complete purchase order hand carried. All paperwork signed by or
presented to the designated individual by the vendor should be forwarded to
Business Services.
Emergency Orders
There are occasions when the normal purchasing procedures cannot be followed
due to an urgent need for material. If an emergency exists, follow the
procedure below:
NOTE: Emergency orders, unless limited, will result in additional cost, time and effort on the part of all concerned. The above procedures should only be used when actual emergencies arise and not as a convenient alternative to normal procedures.
University Policy and Procedure on Check
Requests
A check request (Exhibit E) should
be used in instances when a purchase order will not be issued. Generally, the
following items may be paid for by check request:
Check requests will continue to be processed in the Business Office, Marsh Hall.
For purchases under $5,000 per single item or cumulative to $25,000, several options are available:
How to Use a Check Request Form
Complete the form according to the following
instructions. (Paragraph numbers agree with key on sample form .)
1. VENDOR TAX ID/SSN - if check is to an individual mark tax ID of Social
Security Number.
2. VENDOR # - leave this blank, it is completed by the Business Office.
3. PAYABLE TO - enter the name to whom the check is to be written.
4. DATE - enter date request is made.
5. ADDRESS - enter the address of the name above.
6. DATE REQUIRED - enter the date the check is needed.
7. YOUR REF - enter reference number is desired.
8. ATTACHMENTS TO MAIL - check if attachments are to dent with check.
9. INVOICE #- enter number of invoice to be paid by check if necessary.
10. MAIL TO ADDRESS - mark if check is to be mailed.
11. DESCRIPTION - enter description of what check is for.
12. HOLD FOR PICK - mark if check is to be picked up in Business Office.
13. HOLD NAME - enter name of person to pick up check.
14. ACCOUNT NUMBER - enter line item account number for check to be charged against.
15. AMOUNT - enter amount of check.
16. COMMENTS - enter any special information if desired.
17. TOTAL - enter total of check request.
18. AUTHORIZED SIGNATURE - enter signature of budget authority.
18. EXT. #. - enter phone extension number.
19. PRINTED NAME - print name of authorized signature.
IMPORTANT: Never use a Check Request to pay charges when a Purchase Order has been or will be issued.
University Payment Methods
Invoices for purchases initiated with a
purchase order are to be sent to the Business Services Office for validation
and processing. Invoices are matched with the purchase requisition, and when
the invoice is approved by the departmental representative it is accepted
within the computer system for Accounts Payable to process. The invoice is then
forwarded on to Accounts Payable for voucher creation and a check is created
for payment to the vendor. If an original invoice is received by a department,
please forward the invoice to Business Services. DO NOT HOLD!
Invoices for purchases initiated with a check request are processed as follows:
Instruct the vendor to send the invoice to Accounts Payable in the Business Office. If approval is needed by the department, Accounts Payable will send a copy of the invoice for authorization and a budget signature.
Questions
If you have any questions regarding purchasing, please e-mail or call x2265 in
the Business Services Office.
This page is maintained by B. Ray.